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- Michael Dell and Joseph Baratta also join Raiders’ ownership group
- Silver Lake co-CEO Egon Durban increases shareholding in franchise
- Arctos buys third NFL team stake in Cleveland Browns
The National Football League’s (NFL) Las Vegas Raiders have added executives Ari Emanuel and Mark Shapiro, as well as Dell Technologies founder Michael Dell and Blackstone global head of private equity Joseph Baratta to their ownership group.
All four have taken individual stakes in the franchise. Sports Business Journal (SBJ) reports Emanuel will own 1.4 per cent of the team, and Shapiro will hold a 0.6 per cent interest, with the deals expected to close later this month.
Silver Lake co-chief executive Egon Durban has also increased his shareholding to 22 per cent, while real estate developer Michael Meldman has expanded his own stake to 12.9 per cent.
The six investors now own a combined 25.3 per cent shareholding in the Raiders, who were valued at US$9.9 billion in the transaction. Mark Davis remains the majority owner of the NFL franchise, whose other minority investors include former NFL quarterback Tom Brady, Birmingham City co-owner Tom Wagner and former Raiders defensive lineman Richard Seymour.
In the event Davis sells the team or passes away, Durban is reportedly set to take over as controlling owner of the Raiders as part of a succession plan the NFL approved.
Emanuel and Shapiro both command considerable influence in the sports world through TKO, which owns the Ultimate Fighting Championship (UFC) and World Wrestling Entertainment (WWE).
Shapiro particularly has ties to the NFL, as he spearheaded the acquisition of Monday Night Football (MNF) rights on ESPN’s behalf in 2005, and created the NFL Honors event. Together with Emanuel, he also led on Endeavor’s acquisition of On Location, the hospitality specialist which has exclusive NFL packages.
This is the second sports team Shapiro co-owns, as he also retains a stake in Major League Soccer’s (MLS) Los Angeles Football Club. Meanwhile, Emanuel launched a new events and experiences business in Mari last year, with the venture owning multiple tennis tournaments such as the Madrid and Miami Open.
Both men already have ties to Raiders co-owner Durban, with Silver Lake controlling both TKO and agency giant WME after taking the Endeavor business private last year.
Elsewhere, Arctos Partners has bought a stake in a third NFL team in the Cleveland Browns. According to SBJ, the firm will own 3.2 per cent of the franchise, who has been valued at more than US$9 billion.
The Browns will remain controlled by Dee and Jimmy Haslam, who have committed US$1.75 billion to the outfit’s new stadium project in Brook Park.
“Arctos brings deep and respected expertise across sports, and we welcome them as a limited partner,” said Dee and Jimmy Haslam. “They share our long-term vision for investing in both the franchise and Northeast Ohio.”
“The Cleveland Browns are one of the NFL’s most iconic and historic franchises, with a deeply loyal fan base and a leadership team committed to both the future of the organisation and the surrounding community,” added Chad Hutchinson, partner at Arctos. “We are excited to join the Browns as a limited partner and support the organisation’s long-term priorities.”
Arctos, which already owns stakes in the Buffalo Bills and the Los Angeles Chargers, was recently acquired by private equity giant KKR for US$1.4 billion. Hutchinson told SportsPro New York this year that KKR’s takeover would lead to “much larger opportunities” for the sports-focused investment firm, including league, venue financing and global deals.
It is one of a select group of private equity investors approved to buy stakes in NFL teams. Others to have invested in teams include Sixth Street, which owns a stake in the New England Patriots, and Ares Management, which owns ten per cent of the Miami Dolphins.
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